Reaction to federal student loan forgiveness plan
WILMINGTON, NC (WWAY) — President Joe Biden’s decision to provide debt cancellation for borrowers making under $125,000 and extending the pause on federal student loan payments, has some borrowers rejoicing.
The Department of Education estimates that of the borrowers eligible for relief, 21% are 25 years and under, 44% are ages 26 to 39, and more than a third are borrowers age 40 and up, which includes 5% who are senior citizens.
A senior and a junior at UNCW, say they believe Biden’s federal student loan forgiveness plan will help a wide range of people, from current undergraduate students, to people who left school years ago.
“I think it will help, because I know some people have loans right now, that are really struggling and having like, –basically panic attacks, like how am I going to be able to afford this, first coming out of college,” Mekenzi Porter, UNCW student.
“There’s a lot of stress when you come out of college, and stuff like that, and I’m not even there, and I already feel it. There’s a lot of responsibility and a lot of stuff we have to get done to get our place, –kind of seated into the world and stuff like that, and if you know this can help at least take a little stress off, –you know some people and I’m all for it,” Owen Porter, UNCW student.
One UNCW non-traditional student says he thinks any bit of loan cancellation will benefit many, but the extended pause on federal student loan repayment through December 31, could have a positive or negative impact on those who utilize it.
“Are you they just saving that money so, –because eventually they have to pay that. So, are they just saving that money to eventually pay it, when it comes around to start paying for it, or are the spending it on other things. I mean if it’s to catch up on things, like especially during –during COVID, –and they’re able to use that to go ahead and get ahead or stay above water, that’s one thing,” said Kenny Kahalewai, UNCW student.
According to the White House press release, more information on claiming federal student loan relief will be available to borrowers in the next few weeks.
